Prabhudas Lilladher has maintained its buy rating on Hindustan Construction Company with a price target of Rs 178 in its June 2008 research report. "Hindustan Construction Company’s (HCC) Rs 105 billion order book as on March 2008 includes the Rs 19.8 billion Sawalkote project, which is currently under dispute. Adjusting for this project, the order book would be Rs 85.2 billion, of which 50% contracts would have a wholesale price-based escalation, 30% would be star rate-linked and 10% linked to the metal index. The balance 10% would be fixed price contracts."
"We have a price target of Rs 178. HCC’s core business has been valued at 17x FY09 EPS, Lavasa has been valued at Rs 44 per share, the Vikhroli IT Park has been valued at Rs 16.7 per share, and the two SRS projects and annuity BOT projects at Rs 13.6 per share. We maintain BUY rating on the company," says Lilladher's research report.
"We have a price target of Rs 178. HCC’s core business has been valued at 17x FY09 EPS, Lavasa has been valued at Rs 44 per share, the Vikhroli IT Park has been valued at Rs 16.7 per share, and the two SRS projects and annuity BOT projects at Rs 13.6 per share. We maintain BUY rating on the company," says Lilladher's research report.
